This week, we examine new artificial intelligence (AI) regulations in California impacting employers.

AI in the Workplace: California Sets a New Compliance Standard 

Starting October 1, 2025, new AI rules in California will change how businesses in the state use automated tools in hiring, promotions, and other workplace decisions.

Key Takeaways for Employers

• Anti-Discrimination Measures: The new regulations specifically target discriminatory practices in employers’ use of automated decision systems (ADS).
• Recordkeeping Requirements: Employers are now mandated to retain all ADS records and data for a minimum of four years.
• Regulatory Precedent: California’s proactive stance on AI regulation is anticipated to influence similar regulatory frameworks nationwide, establishing a precedent for other states.

In this episode of Employment Law This Week®, Epstein Becker Green attorney Frances M. Green provides an essential breakdown of the new California regulations, including actionable insights on conducting risk assessments and aligning them with existing cybersecurity and privacy audits to ensure compliance.

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